A competitive market is one in which a large numbers of producers compete with each other to satisfy the wants and needs of a large number of consumers. In a competitive market no single producer, or group of producers, and no single consumer, or group of consumers, can dictate how the market operates. competitive market is one in which a large numbers of producers compete with each other to satisfy the wants and needs of a large number of consumers. In a competitive market no single producer, or group of producers, and no single consumer, or group of consumers, can dictate how the market operates.
Only when the annuitant begins to withdraw money from the annuity, he has to pay tax on his gains. Annuitiy holders must be advised of the risks of deferred income taxes when they agree to accept an annuity contract. In the event of the death of the annuitant, the beneficiary is subject to tax.
If you receive retirement benefits in the form of pension or annuity payments from a qualified employer retirement plan, all or some portion of the amounts you receive may be taxable. This topic does not cover the taxation of Social Security and equivalent railroad retirement benefits.For information about tax on these benefits, refer to Topic 423. The pension or annuity payments that you receive are fully taxable if you have no investment in the contract due to any of the following situations:1  You did not contribute anything or are not considered to have contributed anything for your pension or annuity.his topic does not cover the taxation of Social Security and equivalent railroad retirement benefits. For information about tax on these benefits, refer to Topic 423. The pension or annuity payments that you receive are fully taxable if you have no investment in the contract due to any of the following situations: